[00:02] securities market. In today's video, we'll discuss what stocks are, how to invest in stock market investment, and what the best stocks are for beginners. So, get your coffee ready, and let's begin! The first thing you
[00:14] need to know is that the stock market, or securities market, is a very simple market, and the big idea you have about it is greatly exaggerated. So, first, let me explain what stocks are. Look, my friend, let's imagine that you have a successful business or company and you need to expand and grow
[00:28] your business or company. To do this, you need money, but unfortunately, you don't have it. In this case, you need to raise money from an external source, someone else who has money, to grow your company, as we said, and also increase your revenues and profits. So, the question here is, what will you do
[00:43] to raise this money? The answer is that you look for investors.  The best place to find investors is the stock market, also known as the stock exchange. In this case, if you want to raise a lot of money for your company from investors, you must offer part of your ownership in the company
[00:58] for sale. This is called an initial public offering (IPO). Let's assume, for example, that you are going to sell 30% of the company to investors. This 30% represents the shares, and this 30% could be represented, for example, by 300,000 shares of the entire
[01:10] company. So, if you bought shares in Google, the company that owns YouTube, then you are considered an owner in Google. Yes, you might own a very small part of the company, but you are still considered an owner in the company, even if you own only one share out of thousands of
[01:25] shares. Because the number of shares is very large in this type of company, you will not find just one person who owns a large company like Google, Tesla, Microsoft, or even Apple. You'll find thousands of people owning shares in these companies. The second thing is how to
[01:39] invest in stocks. Before I explain how, please subscribe to the channel and activate the bell icon to see upcoming videos. Also, like the video so it reaches as many people as possible and everyone can benefit. Look, my friend, the stock market, or stock exchange, is a very large market where people go to
[01:53] buy and sell company shares. To be part of this market and know how to buy and sell shares, you'll need to register and have an account with a brokerage firm or securities trading company. These are some of the names given to intermediary companies between you and the
[02:07] stock exchange or the companies listed on it. You could say that these companies are a gateway for you to enter the stock exchange and use it to buy and sell shares. There are many brokerage firms, some of which only allow you to buy and sell shares of
[02:20] local companies, meaning in the country where you are located. You live in a country where companies offer several options, such as buying shares of local companies or opening an account on a global stock exchange, like the US market, to buy shares in foreign companies. Each country usually has its
[02:33] own brokerage firms; for example, a brokerage firm in Egypt is different from one in Saudi Arabia. Most companies in the Arab world that allow you to buy shares of local companies must be licensed by the central bank of that country. The first
[02:46] thing you should do to register is to research the top five brokerage firms in your country and choose one. After selecting a firm, you can register through to open an account. I recommend that the firm you choose should
[03:01] have a mobile app for buying and selling. After registering and having your account approved, you can make a deposit or transfer funds from your bank.  Your money will be deposited into your brokerage account. Once the funds are in your account, you can then buy
[03:13] shares in companies. However, before choosing which companies to invest in, you must ensure that they are permissible (halal) to invest in and that all their transactions are compliant with Islamic law (halal). You can verify this with the Sharia each country maintains a
[03:26] list of permissible companies. All you need to do is research to access this list. The company you choose must be strong and stable in the market. A strong and reputable company with increasing
[03:39] market value will also see its share price rise. distributed annually to the partners or shareholders, including you, God willing. These profits are distributed to shareholders according to their respective shares.  The company
[03:53] will automatically deposit the funds into your bank account or brokerage account without you having to do anything. I want to tell you that all of this falls under the category of passive income, which you may have heard of before. After buying shares, you have two options: either hold
[04:06] the shares for a long period, which is generally called investment, or sell them after a short period, which is called trading. There are many reasons for selling shares, such as needing cash as soon as possible, or not liking the company and wanting to sell and buy shares in another company. Of course, all of these are your
[04:19] reasons, and no one will ask you why you're selling because as soon as you place a sell order, the shares are sold immediately, and your money is in your brokerage account. You can then leave it in your brokerage account, use it to buy new shares, or
[04:32] even transfer it to your bank account. It's entirely up to you. So how does it work?  Many people become wealthy from investing in the stock market. Look, my friend, the truth is that many people do become wealthy from investing in the stock market, but there isn't one single guaranteed method that everyone follows. I'm here to
[04:45] tell you about the methods used, and then it's up to you to choose the most suitable or best method for you. These methods are: buying and holding, dividend distribution, speculation, and trading. The first method we'll talk about is buying and holding. In this method, people buy shares and hold them for a
[05:00] very long period, not just a month or two, but for many years—you could say 10 years or more. I also want to tell you that some people hold onto their shares until they die and leave them to their children. This method relies on the annual dividend distributions of the companies they invest in as a source of
[05:13] income. This is because when a company makes a profit, it distributes these profits to the company's shareholders. This, of course, happens every quarter, half- year, or year, depending on the company's policy. And of course, with buying and holding...  For many years, the share price has been increasing over
[05:26] time, and at the same time, investors benefit from the resulting profits. The second method is trading, where buying and selling occurs frequently to generate profits. This buying and selling happens often, perhaps hourly or daily, meaning it occurs frequently over short periods. A
[05:39] trader must have knowledge of technical analysis, so I don't advise beginners to trade unless they have learned technical analysis and practiced the market a bit. Once you become experienced and skilled in trading, you will be able to make a good amount of money in a short time, God willing. The
[05:53] third method is speculation, where a speculator buys low-priced shares hoping that the company has the potential to see its share price rise dramatically in the future. A speculator can make a lot of money if they are lucky enough to
[06:06] invest their money in a company with a promising future, or they can lose a lot of money if the company fails to grow and thrive. There are examples of this.  There are many examples, like those who invested in the early stages of startups, such as Amazon or Tesla for electric cars. No one
[06:19] expected at the time that these companies would become the powerful entities we see today. However, some people invested in companies and lost their money because these companies hadn't even come into existence. So, if you're thinking about investing, I don't advise you to invest a large portion of your money in one company. In other words, do
[06:31] n't put all your eggs in one basket. The fourth method is dividend-paying investors. Here, the investor stays in the company for the long term. Every time the company distributes profits to shareholders, they take those profits and reinvest them. This is actually to
[06:43] earn more profits and accumulate wealth. This is called cumulative income, as if you're making your money work for you. This method is considered very powerful, and I personally use it to build passive income in the future, God willing. So, we've talked about the four methods.
[06:56] People use these methods on their path to wealth in the stock market. I advise you to start by choosing which method you'll use, or the best method for you. You can also combine two of the methods I mentioned. You don't have to choose just one, but remember that none of them is the
[07:09] only correct method because each of the four methods has its advantages and disadvantages. Finally, let me tell you what I consider the best stocks or companies to invest in. Look, my friend, the stock market is divided into small and large companies, and these
[07:21] companies operate in different sectors, such as energy, technology, real estate, retail, banking, and medical sectors like pharmaceutical companies. Some of these companies have local sales, meaning they operate within your country, while others are international, with
[07:33] sales occurring outside your country's borders. So, you could say the market offers many options. If you're still a beginner in the stock market, I advise you to invest only in large, stable companies, especially in the energy and technology sectors. Because of the lower risks
[07:47] compared to investing in small, unknown companies, for example, the probability of losing money in a small, unknown company is much higher than investing in a large, reputable, and stable company in the market. Of course, in this section, you're expecting me to mention
[08:00] some company names, but I'll leave that task to you. All you need to do is conduct your own research on the company you're going to buy shares in before you do, and assess its strength and stability in the market. And don't forget, don't put all your eggs in one basket. Diversify your
[08:14] don't put all your eggs in one basket. Diversify your any questions, feel free to write them in the comments below, and I'll answer them, God willing. And don't forget to subscribe And don't forget to subscribe to the channel. Peace.